The latest economic data issued by the Kuwait Financial Centre “Markaz” shows that the Kingdom of Saudi Arabia continues to lead the financial scene in the GCC region, as the Kingdom topped the countries of the region in terms of the total value of initial public offerings during 2025. The Saudi market recorded offerings with a total value of $4.1 billion, which represents a dominant share of 79% of the total value of offerings in the Gulf, reflecting the depth of the Saudi financial market and its increasing investment attractiveness.
According to the report, the Saudi main market witnessed significant activity, attracting 13 IPOs with a total value of $3.7 billion, underscoring the confidence of major companies and investors in the strength of the Saudi economy. Meanwhile, the parallel market (Nomu) proved its vitality as a platform for startups and medium-sized enterprises, attracting the largest number of listings with 23 IPOs totaling $336 million, indicating a fertile and supportive entrepreneurial environment.
The regional landscape and the decline in overall values
Regionally, the report indicated that the Gulf region as a whole witnessed 40 initial public offerings (IPOs) during 2025, with a total value of $5.1 billion. Despite this activity, the figures show a 61% decrease in total value compared to 2024, which could be attributed to corrective factors in global markets or natural economic cycles following periods of intense activity. However, the Saudi market maintained its relative momentum compared to its peers.
The private sector is leading the way
In a remarkable shift reflecting the maturity of the Gulf private sector, initial public offerings (IPOs) by private companies constituted the largest share of total IPO value in 2025, accounting for 76% with $3.9 billion raised across 37 companies. In contrast, Gulf government-owned companies contributed only 24% of the total IPO value through three offerings totaling $1.2 billion, demonstrating the Gulf governments' commitment to empowering the private sector to drive economic growth.
Economic context and Vision 2030
This Saudi leadership is a natural result of the structural reforms implemented by the Kingdom within the framework of "Saudi Vision 2030," specifically the Financial Sector Development Program, which aims to develop an advanced financial market. Regulatory facilitations and improvements to the legislative framework of the Capital Market Authority have contributed to attracting more companies to list, both on the main and parallel markets.
These figures reflect the success of the economic diversification strategy, as the market is no longer solely reliant on large government offerings but has become a nurturing environment for various sectors. The parallel market plays a pivotal role in this context, providing a flexible financing channel for small and medium-sized enterprises (SMEs), thereby enhancing their contribution to GDP and creating more job opportunities, thus solidifying Riyadh's position as a regional financial capital.
